F-blew: Here we go again; Trop makes Hoosier history

Steven Witkoff hasn’t closed on the Fontainebleau sale yet, never mind receiving a gaming license, and he’s already being cast as the savior of the Las Vegas Strip. However, there are some dark clouds on Fontainebleau’s horizon. Despite the $1.3 billion completion cost, Clark County Commissioner Chris Giunchigliani thinks Witkoff will continue to position F-blue as a high-end property. Never mind its proximity to the Las Vegas Convention Center. Where Witkoff will find well-heeled customers to fill 2,800 hotel rooms and 1,200 condo units (an insane idea) on a distressed part of the Strip is a question that is simply begged. And if Witkoff’s still planning on selling condos, that’s cause for despair. “The new owners definitely plan on keeping it as a casino and high-end hotel. They did their due diligence, and (the building is) very structurally sound,” said Chris G.

Also going unanswered is the question of who Witkoff will get to run the casino, which is expected to account for 40% of F-blue’s revenues (but will probably have to do better than that, if it has to subsidize super-high room rates). Marriott and Hilton are being tipped as hotel operators but that’s not a global solution as neither has a gaming-operations wing. “I don’t know if it has to be uber-high-end, but it has to be competitive,” said Union Gaming Group‘s John DeCree, stressing the importance of gambling revenue to the project. Assuming that Witkoff goes to work immediately on finishing F-blue, brace yourself for the collision when it and Resorts World Las Vegas hit the market at roughly the same time, bringing 5,800 new rooms onto the market at one fell swoop. Or will Genting Group use the F-blue sale as another excuse to dither about Resorts World? Only Scott Roeben knows. Polish thy crystal ball, Scott!

* Eldorado Resorts has hit upon a surefire method of employee retention: on-site, no-copay health clinics. Said Eldorado’s Rick Murdock, “the return is, I think, this is what we give back to our employees and helping us recruit; that’s our return.” Adds Dr. Kori Singleton, “This model, which I do believe is going to be the model of the future, it saves money, not only for employers, but also for patients … To have the opportunity to have more time connecting with people, really impacting their health, in psychological ways and physical ways, all of those kinds of things are really rewarding to me as a healthcare provider, healer.” Congratulations to Eldorado for its enlightened approach to health care and here’s hoping the idea catches on in the rest of the industry.

* Tropicana Evansville will close its riverboat on Oct. 16 and reopen as a land-based casino on Oct. 20. The doors to the $50 million facility, the latest feather in Carl Icahn‘s cap, will swing open at 10 a.m. local time. The popularity of the Trop is such that it has been unaffected by the doldrums that have depressed other Ohio River operators. Although, in a legacy of the Mike Pence administration, all Indiana riverboats can move their gambling infrastructure onto *terra firma*, Trop Evansville is the only one to have done so. The City of Evansville riverboat will weigh anchor, to be replaced with a World War II naval vessel, a historical display to which Tropicana Entertainment has contributed $1 million. The move is bringing 100 new jobs to Evansville, so update your resumes, Hoosiers.

* August was gangbusters for Penn National Gaming‘s Plainridge Park. Win/slot/day was a staggering $367 and was 8.5% higher than last year. Well done.

* Presque Isle Downs and Valley Forge Casino Resort have been bad boys, resulting in a pair of $10,000 fines from the Pennsylvania Gaming Control Board. Valley Forge was faulted for violating its own self-exclusion rules while Presque Isle was slapped down for “procedure violations” at the blackjack tables: players had been complaining about unfair dealer practices. Both casinos have been instructed to straighten up and fly right.

* Columnist Daniel Kashmir argues that social gaming is stagnating and offers a five-point solution … even though I don’t think you’re going to find Tom Hanks endorsing social gambling anytime soon.